Loading ...$USD – Daily
A close up look at the USD making a picture perfect retest of an inverse SHS neckline. Note the twin shoulders on each side. Sometimes the market likes to show off with symmetry. One should expect the retest to hold and the dollar to rally. We might look for a head wind for commodities and the PMs.
$USD – Daily
You can remove the question mark after neckline, once it breaks out it fulfills the criteria of being considered a H&S.
Also note the higher right shoulder vs the left. This is positive pointing towards further upward movement. The 50 EMA however needs to begin rising to support the move.
You are right, Plunger. Mea culpa.
Correction: The chart displays the 50 MA not the 50 EMA. For those who prefer EMA usage (I do) it is actually more constructive for an upside move.
Here is how the ETF UUP is representing the move: (options are available using UUP)
https://stockcharts.com/h-sc/ui?s=UUP&p=120&yr=0&mn=3&dy=15&id=p87983499904&listNum=43&a=816798323
Nice look Foxy
One could argue the PO had already been met though
Its not a big pattern
Having said that Rambus often shows small patterns that revers big moves.
My USD target for the next leg up is 96 – 97 which should move Gold & PM’s into their next 5-6 month Intermediate Cycle Low (ICL)
Looks like you have the USD targeting the 200 DMA. That’s easy for us old dudes to remember. Thanks, Surf.
Actually the 200wma on the Weekly is at 96 and should be rather strong resistance if the USD has entered a Bear Market as my Cycle analysis shows. The 50wma is at 97 and the combo of those two provide very strong resistance to upside moves when the USD enters a Bear Market. Pull up a long term Weekly chart and check it out. 😉